October's inflation report 'broke the hiking cycle's back,' and signals the Fed is done raising rates, Bank of America says

• Bank of America changed its Fed outlook on Tuesday after a softer-than-expected CPI report. 
• Strategists wrote that they believe the rate-hiking cycle is now over. 
• October CPI came in at 3.2% year-over-year, down from 3.7% in September.

October's softer-than-expected inflation reading prompted Bank of America on Tuesday to change its outlook on further interest rate increases, with strategists declaring that the Federal Reserve's rate hiking cycle is over. 

Inflation in October came in at 3.2% year-over-year, down from 3.7% in September and the lowest reading since June. Core inflation, meanwhile, accelerated 4% year-over-year, also below the consensus forecast.